The federal budget deficit will be about $642 billion by the end of the current fiscal year, some $200 billion lower than forecast three months ago, the Congressional Budget Office says. The CBO also lowered the 10-year deficit estimate by $618 billion, driven in part by lower health care spending. The CBO predicts the U.S. will spend $4.3 trillion on Medicaid and $7.9 trillion on Medicare over the next decade, down from $4.4 trillion and $8.1 trillion, respectively, in its February forecast.

Related Summaries